§13-2C-8. Security for bonds.
Unless the governmental body shall otherwise determine in
the resolution authorizing the issuance of the revenue bonds
under the authority of this article, there is hereby created a
statutory mortgage lien upon all real estate, buildings,
structures, improvements and personal property included as a part
of an industrial project or commercial project which was
acquired, purchased, constructed, or built or improved, or
financed with the proceeds of said bonds, for the purpose of
securing the principal of said bonds and the interest thereon.
The principal of and interest on any bonds issued under the
authority of this article shall be secured by a pledge of the
income and revenues derived from the lease, sale, financing or
other disposition of the industrial project or commercial
project, by the governmental body issuing such bonds. In the
discretion and at the option of the county commission or
municipality, such revenue bonds may also be secured by a trust
indenture by and between the county commission or the
municipality and a corporate trustee, which may be a trust
company or bank having trust powers, within or without the state
of West Virginia. The governing body may authorize the issuance
of such revenue bonds by resolution. The resolution authorizing
the revenue bonds and fixing the details thereof may provide that
such trust indenture may contain such provisions for the
protection and enforcing the rights and remedies of the
bondholders as may be reasonable and proper, not in violation of
law, including covenants setting forth the duties of the county commission or the municipality in relation to the construction,
acquisition or financing of an industrial project or commercial
project, or part thereof, or an addition thereto, and the
improvement, repair, maintenance and insurance thereof, and for
the custody, safeguarding and application of all moneys, and may
provide that the industrial project or commercial project shall
be constructed and paid for under the supervision and approval of
the consulting engineers or architects employed and designated by
the governing body and satisfactory to the purchasers of the
bonds, their successors, assigns or nominees, and the entity
which leases, purchases or will own the project or either
thereof, who may require the security given by any contractor or
any depository of the proceeds of the bonds or the revenues
received from the lease, sale, financing or other disposition of
the industrial project or commercial project be satisfactory to
such purchasers, their successors, assigns or nominees, or be
satisfactory to the entity which leases, purchases or will own
the industrial project or commercial project. Such indenture may
set forth the rights and remedies of the bondholders, the county
or municipality or such trustee, and said indenture may provide
for accelerating the maturity of the revenue bonds, at the option
of the bondholders or the governmental body issuing the same,
upon default in the payment of rentals, or amounts due from the
entity which leases, purchases, or will own the project or for
other cause. The governing body may also provide by resolution
and in such trust indenture for the payment of the proceeds of
the sale of the bonds and the revenues from the industrial project or commercial project to such depository as it may
determine, for the custody and investment thereof and for the
method of distribution thereof, with such safeguards and
restrictions as it may determine to be necessary or advisable for
the protection thereof and upon the filing of a certified copy of
such resolution or of the indenture for record in the office of
the clerk of the county commission of the county in which an
industrial project or commercial project is located, the same
shall have the same effect, as to notice, as the recordation of a
deed of trust or other recordable instrument.

In lieu of the indenture provided for hereinabove the
principal of and interest on said bonds may be secured by a
mortgage or deed of trust covering all or any part of the
industrial project or commercial project from which the revenues
so pledged may be derived, and the same may be secured by anassignment of the lease on or sale or financing agreement with
respect to said industrial project or commercial project and by
assignment or pledge of the income received by virtue of said
lease, sale or financing agreement. The proceedings under which
such bonds are authorized to be issued, when secured by a
mortgage or deed of trust, may contain the same terms, conditions
and provisions provided for herein when an indenture is entered
into between the governing body and a trustee and any such
mortgage or deed of trust may contain any agreements and
provisions customarily contained in instruments securing bonds,
including, without limiting the generality of the foregoing,
provisions respecting the fixing and collection of rental, purchase or other payments for any industrial project or
commercial project covered by such proceedings or mortgage, the
terms to be incorporated in the lease, sale or financing
agreement with respect to such industrial project or commercial
project, the improvement, repair, maintenance and insurance of
such industrial project or commercial project, the creation and
maintenance of special funds from the revenues received from the
lease, sale or financing of such industrial project or commercial
project and the rights and remedies available in event of default
to the bondholders, the governmental body, or to the trustee
under an agreement, indenture, mortgage or deed of trust, all as
the governing body shall deem advisable and as shall not be in
conflict with the provisions of this article or any existing law:
Provided, That in making any such agreements or provisions a
county or municipality shall not have the power to obligate
itself by indenture, ordinance, resolution, mortgage or deed of
trust, except with respect to the industrial project or
commercial project and the application of the revenues therefrom,
and shall not have the power to incur a pecuniary liability or a
charge upon its general credit or against its taxing powers. The
proceedings authorizing any bonds hereunder and any indenture,
mortgage or deed of trust securing such bonds may provide that,
in the event of default in payment of the principal of or the
interest on such bonds or in the performance of any agreement
contained in such proceedings, indenture, mortgage or deed of
trust, such payment and performance may be enforced by the
appointment of a receiver in equity with power to charge and collect rents or other amounts and to apply the revenues from the
industrial project or commercial project in accordance with such
proceedings or the provisions of such agreement, indenture,
mortgage or deed of trust. Any such agreement, indenture,
mortgage or deed of trust may provide also that in the event of
default in such payment or the violation of any agreement
contained in the mortgage or deed of trust, the agreement,
indenture, mortgage or deed of trust may be foreclosed either by
sale at public outcry or by proceedings in equity and may provide
that the holder or holders of any of the bonds secured thereby
may become the purchaser at any foreclosure sale, if the highest
bidder therefor. No breach of any such agreement, indenture,
mortgage or deed of trust shall impose any pecuniary liability
upon a county or municipality or any charge upon its general
credit or against its taxing powers.